JobKeeper V2 Alternative Test Methods Released

JobKeeper V2 Alternative Test Methods Released

Good Morning,

Legislation has just recently passed for the new “V2 JobKeeper” rules in relation to the Alternative Tests which become available today. Employers will need to re-apply for the JobKeeper extension whereby broadly speaking, they would satisfy the ‘Basic Test’ by comparing the September 2020 Quarter GST Turnover to the same 2019 quarter and demonstrate at least a 30% decline in the GST turnover. Please refer to our emails previously sent for these earlier progressive updates. If this is not met, eligibility may still be sought by applying the ‘Alternative Tests’.

In summary, these alternative tests are the same as “V1 JobKeeper” with minor adjustments to the GST turnover utilised and turnover test/comparison periods. The alternative tests available are: 

 Alternative TestApplicability
1Business commencedBusiness did not exist during the comparison period applicable
2Business acquisition or disposalEntity acquired or disposed part of the business after the relevant comparison period
3Business restructureEntity undertook a restructure after the comparison period (i.e. wouldn’t be considered the same business anymore)
4Substantial increased in turnoverEntity still experiencing its growth phase
5Business affected by drought or natural disasterEntity was affected by drought or another natural disaster during the relevant comparison period
6Business has an irregular turnoverBusiness subject to large irregular variances in turnover before the test period and the business is not cyclical or seasonal in nature
7Sole trader or small partnership with sickness, injury or leavePeriods of leave during the comparison period impacted an individual’s ability to generate turnover

Please contact us as soon as possible if you require any assistance. 

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